Keeping Indiana's Property Taxes Low

Keeping Indiana's Property Taxes Low

Monday, April 22, 2024

Indiana is fortunate to have the eighth-lowest median property taxes in the nation for homeowners and the No. 3 most taxpayer-friendly property-tax system in the country. In recent years, Senate Republicans have lead and passed several initiatives to maintain low property taxes in Indiana. 

Property tax rates are set and collected by local government officials, not the state or General Assembly, but it is important for state lawmakers to ensure Indiana's tax system works fairly for all Hoosiers. This is why Senate Republicans lead and passed the following efforts to reform our property-tax system and continue reducing property-tax rates.

  • House Enrolled Act 1499 (2023) is providing homeowners over $110 million in temporary property-tax relief in 2024. This law also expanded eligibility for the property-tax deduction and property-tax credit for senior-citizen homeowners.
  • In 2024, the General Assembly passed a law that expands eligibility for the disabled veteran property tax deduction by increasing the assessed-value limit to $240,000.
  • Senate Enrolled Act 325 (2023) reduces property-tax bills for outbuildings and improvements on a person's property, such as decks, patios, gazebos and pools.
  • Senate Enrolled Act 46 (2023) gives counties the option to limit how much property taxes can increase from year to year for moderate-income homeowners who have lived in the home for at least 10 years. The goal is to help homeowners who bought an affordable home on a fixed income years ago, and the home value has increased substantially over time.
  • Senate Enrolled Act 183 (2024) allows counties to adopt an ordinance to exempt mobile and manufactured homes from property taxes.
  • House Enrolled Act 1454 (2023) makes the property-tax appeals process more taxpayer friendly by stating that if a homeowner appeals their home assessment, the assessed value of the property cannot go up as a result of the appeal. In other words, if the appeal is successful, the assessment would decrease. If the appeal fails, the assessment will not increase, but instead remain at the initial amount challenged.
    • Those who wish to appeal against the assessed value of their property can file an appeal with the county to have the value reviewed. If successful, a property's assessed value could be appealed to the state. To learn more about the appeals process, click here.

Senate Republicans understand the concerns taxpayers have about property taxes. That’s why efforts are ongoing to identify ways to potentially reduce them in the future through the State and Local Tax Review Task Force, which was created so lawmakers can consider more ways to keep money in Hoosier taxpayers' pockets and plan for Indiana's long-term financial future.

To learn more about property taxes in Indiana, click here